flyus2, on 22 February 2012 - 05:43 PM, said:
I totally agree with you. Let's face it...USAirways is a business and the objective is to make money, not to make sure we are all happy. I believe that at the negotiating table, there were other people there besides management, hence negotiations. I would be more concerned that those who were there to "protect" the dues paying members allowed certain language to be included. Go to the roadshows and be heard and get your questions answered...then cast your vote nay or yay...whatever you feel is the right thing to do!
Some people who know a thing or two about ways to make gobs upon gobs of money would beg to differ. You'll note the Hero of Tempe isn't among them. Let's face Dougie derives his style more from Frank Lorenzo then he does Herb Kelleher or Gordon Bethune.
The Customer Comes Second
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Hal Rosenbluth, CEO of Rosenbluth International, says you should “put your people first and watch’em kick butt”. (Rosenbluth International is a world leader in corporate travel management, with over 5.000 people in more than 50 countries).
More from the review.
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The book has very moving epilogue, that tells the story of how Rosenbluth handled events after the world trade center attack. Their business literally disappeared overnight. Nobody was travelling anywhere. Decisive action was needed, and they had to fire 100′s of people.
In my opinion, a companies commitment to its values are tested mostly in adversity. And Rosenbluth certainly demonstrated the strength of its peoples commitment to each other and to the company. When the layoffs (or furloughs) were announced, people reacted by voluntarily offering to work for less money. People who could afford it asked to be furloughed in stead of colleagues who couldn’t afford it. Leaders took pay cuts, so less of their people would have to be fired.
And those who were furloughed came by Hal Rosenbluths office in large numbers – to thank him and the company for the good times. I have seen other companies in trouble, and believe me, this sort of behavior is not common.
From Herb Kelleher:
The Thought Leader Interview
S+B: Let’s start with some words from your award. You made an “audacious commitment” to putting employees first, customers second, and shareholders third. How did you get away with that for 20 years?
KELLEHER: When I started out, business school professors liked to pose a conundrum: Which do you put first, your employees, your customers, or your shareholders? As if that were an unanswerable question. My answer was very easy: You put your employees first. If you truly treat your employees that way, they will treat your customers well, your customers will come back, and that’s what makes your shareholders happy. So there is no constituency at war with any other constituency. Ultimately, it’s shareholder value that you’re producing.
This is the difference between a thriving travel agency and airline (WN) and The Tempe Frat Boys that run US Airways